Changes made to mutual insurance bill

Press, 17 April 1982, Page 5

Changes made to mutual insurance bill

Parliamentary reporter

A short bill to update the provisions of mutual insurance associations for the

farming community has been introduced to Parliament. The Mutual Insurance Amendment Bill was given a First Reading and referred to the Commerce and Energy Select Committee for consideration. The parent act, to which the bill seeks to make miscellaneous changes, provides for the incorporation and regulation of mutual insurance associations involving members of the farming community and which have been formed to insure members’ property in rural areas. The act dates from 1903 legislation which provided for mutual fire insurance associations among farmers who were having difficulty in arranging insurance cover because of the distance of their properties from firefighting services. The bill extends the definition of “isolated property" to include the property of cooperative dairy companies, and makes other small amendments to the provisions governing the membership of mutual insurance associations. an association's power to hold land, the interest payable on outstanding calls on premium notes, the signing of insurance policies, who can be advisory directors, and the type of resolution for rules providing for regional representation on an association's board of directors.